Tamil Cinema Box Office

[Dammy R]

I used to think ROI is a criteria they use to judge if a movie is average/hit/blockbuster or flop. But has not been the case all the time. So I dont know how they do it. But most of the times, we dont get to hear the profits margin ..

Yes Bill...it still is.. In case of Puli, the producer wouldve spent let's say 85 cr ( assumption )...and the overall pre release business is 101cr.; the producer already made ROI of 16 cr.
Now the same goes for distributors, if the total distribution price is 74cr, all distributors put together need to make 74cr "share" ( I.e. gross less tax less theater rentals), to break even. Anything above this would be profit for them. Normally, the producers for big star movies always make profits, its only the distributors who are under the sword most times which is why we see all these issues around demanding compensation etc.

The hit or flop status is derived based on thE ROI for distributors. For producers of all big star movies, it is always a hit